Hst taxable goods

Here are examples of common products and services and how they will be affected by the HST.

1 Although sales tax on alcohol is decreasing, other alcohol fees and taxes are changing to continue to support social responsibility.

Answering your questions about Ontario’s Harmonized Sales Tax

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What’s Taxable Under the HST and What’s Not?

CLOTHING AND FOOTWEAR:

FOOD AND BEVERAGES:

GST-taxable before July 1, 2010

RST-taxable before July 1, 2010

Is there a change to the amount of tax payable

under the HST?Adult Clothing 5% 8% No (remains 13%)Children’s Clothing 5% No RST No (remains 5%)Shoe Repair Service 5% 8% No (remains 13%)Children’s Footwear 5% No RST if $30 or less No for footwear up to

size 6 (remains 5%)Tailoring Services 5% 8% No (remains 13%)Dry Cleaning Service 5% No RST Yes (changes to 13%)

Did You Know?6.6 million families and individuals in Ontario will receive sales tax transition benefits in three instalments over one year beginning in June 2010.




under the HST?Basic Groceries (e.g., Dairy, Meat, Vegetables, Canned goods)

No GST No RST No HST

Snack Foods (e.g., Chips, Pop) 5% 8% No (remains 13%)Qualifying Prepared Food and Beverages Sold for $4.00 or Less

5% No RST No (remains 5%)

Restaurant Meals for More than $4.00

5% 8% No (remains 13%)

Alcoholic Beverages 5% 10-12% HST 13%1

HOME SERVICES:

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Did You Know?93 per cent of all homes sold in Ontario, on average, will not be subject to an additional tax amount under HST.




under the HST?Cable Television Services 5% 8% No (remains 13%)Cell Phone Services 5% 8% No (remains 13%)Municipal Water No GST No RST No HSTHome Maintenance Equipment 5% 8% No (remains 13%)Home Phone Services 5% 8% No (remains 13%)Home Service Calls to Repair Free-Standing Appliances such as Stoves, Refrigerators, Washers, Dryers, and Televisions


Home Insurance No GST 8% No (remains 8%)Electricity and Heating (e.g., Natural Gas/Oil for Home)

5% No RST Yes (changes to 13%)

Internet Access Services 5% No RST Yes (changes to 13%)Home Service Calls by Electrician/Plumber/Carpenter to Maintain or Repair Furnace, Leaky Faucets, Bathtub, Toilet, Electrical Wiring, etc.


Landscaping, Lawn-Care and Private Snow Removal


ACCOMMODATION AND TRAVEL:




under the HST?Luggage, Briefcases, Bags, etc. 5% 8% No (remains 13%)Municipal Public Transit No GST No RST No HSTGO Transit No GST No RST No HSTHotel Rooms 5% 5% Yes (changes to 13%)Taxis 5% No RST Yes (changes to 13%)Camping Sites 5% No RST Yes (changes to 13%)Domestic Air, Rail and Bus Travel originating in Ontario


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AROUND THE HOUSE:

Did You Know?The comprehensive tax package provides Ontarians with $11.8 billion in tax relief over three years.




under the HST?Cleaning Products 5% 8% No (remains 13%)Laundry Detergent, Fabric Softeners 5% 8% No (remains 13%)Household Furniture 5% 8% No (remains 13%)Refrigerators and Freezers 5% 8% No (remains 13%)Pre-packaged Computer Software 5% 8% No (remains 13%)Books (including Audio Books) 5% No RST No (remains 5%)Newspapers 5% No RST No (remains 5%)Magazines Purchased at Retail 5% 8% No (remains 13%)Office Supplies, Stationary 5% 8% No (remains 13%)Landscaping Materials Including Sod, Seeds, Plants


Linens (e.g., Blankets, Towels, Sheets)


Tents, Sleeping Bags, Camping Supplies


Tools 5% 8% No (remains 13%)Patio Furniture 5% 8% No (remains 13%)Barbeques, Lawnmowers, Snowblowers, Sprinklers


Toys (e.g., Puzzles, Games, Action Figures, Dolls, Playsets)


Outdoor Play Equipment (e.g., Swing Set, Sandbox, Slides)


Crafting Supplies 5% 8% No (remains 13%)Building Materials (e.g., Lumber, Concrete Mix)


Magazines Purchased by Subscription


Home Renovations 5% No RST Yes (changes to 13%)

MOTORIZED VEHICLES:

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under the HST?Vehicle Parts 5% 8% No (remains 13%) Short-Term Auto Rentals 5% 8% No (remains 13%)Lease of a Vehicle 5% 8% No (remains 13%)Child Car Seats and Booster Seats 5% No RST No (remains 5%)Auto Insurance No GST No RST No HSTLabour Charges to Repair Vehicle 5% 8% No (remains 13%)Oil Change 5% 8% No (remains 13%)Tires 5% 8% No (remains 13%)Window Repair 5% 8% No (remains 13%)Purchase of Vehicle from Dealer 5% 8% No (remains 13%)Boats 5% 8% No (remains 13%)Snowmobiles 5% 8% No (remains 13%)Recreational Vehicles 5% 8% No (remains 13%)Private Resale of Vehicles No GST 8% Yes2 (changes to 13%)Gasoline/Diesel 5% No RST Yes (changes to 13%)

2 HST does not apply; however, Ontario will maintain the RST on private transfers of used vehicles at a rate of 13 per cent to help ensure a level-playing field between sales by dealerships and private sales.




under the HST?New Homes up to $400,000 5% No RST No change3

New Homes over $400,000 5% No RST Yes3A

Resale Homes No GST No RST No HSTReal Estate Commissions 5% No RST Yes (changes to 13%)

3 The new housing rebate will be 75 per cent of the Ontario component of the HST, up to a maximum of $24,000. The rebate will

ensure that buyers of homes priced up to $400,000 will, on average, pay no more tax than under the RST system. However, applicable RST on building supplies is embedded in the price of the home.

3A New homes purchased as primary residences, valued at $400,000 or more will be eligible for the maximum new housing rebate of $24,000.

HOME PURCHASES:

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HEALTH PRODUCTS AND SERVICES:




under the HST?Audiologist Services No GST No RST No HST if offered by a

practitioner of the service.Chiropractor Services No GST No RST No HST if offered by a

practitioner of the service.Physiotherapist Services No GST No RST No HST if offered by a

practitioner of the service.Pharmacist Dispensing Fees No GST No RST No HSTOver-the-Counter Medications 5% 8% No (remains 13%)Prescription Drugs No GST No RST No HSTSome Medical DevicesIncludes walkers, hearing aids

No GST No RST No HST

Prescription glasses/contact lenses No GST No RST No HSTFeminine Hygiene Products 5% No RST No (remains 5%)Adult Incontinence Products No GST No RST No HSTDiapers 5% No RST No (remains 5%)Cosmetics 5% 8% No (remains 13%)Hair Care Products (e.g., Shampoo, Conditioner, Styling Products)


Dental Hygiene Products (e.g., Toothpaste, Toothbrushes)


Massage Therapy Services 5% No RST Yes (changes to 13%)

Vitamins 5% No RST Yes (changes to 13%)

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under the HST?Condo Fees No GST6 No RST6 No HST6

Residential Rents No GST No RST No HSTHockey Rink and Hall Rental Fees 5% No RST Yes (changes to 13%)

6 Residential condo fees charged to residents are exempt; however, purchases by condominium corporations will be subject to HST, if applicable.

LEASES AND RENTALS:

MEMBERSHIPS, ENTERTAINMENT AND SPORTS EQUIPMENT:




under the HST?Admissions to Professional Sporting Events

5% 10% Combined rate going down to 13% from current 15%

Movie Tickets 5% 10% Combined rate going down to 13% from current 15%

Music Lessons No GST No RST No HSTSkis and Snowboards 5% 8% No (remains 13%)Hockey Equipment 5% 8% No (remains 13%)Golf Clubs 5% 8% No (remains 13%)Green Fees for Golf 5% No RST Yes (changes to 13%)Gym and Athletic Membership Fees 5% No RST Yes (changes to 13%)Ballet, Karaté, Trampoline, Hockey, Soccer Lessons, etc.

5% No RST Yes4 (changes to 13%)

Tickets for Live Theatre with 3,200 Seats or Less

5% No RST Yes5 (changes to 13%)

4 HST taxable, although some could be HST-exempt if provided by a public service body to children 14 and under and underprivileged individuals with a disability.

5 HST taxable, although some could be exempt if maximum admission charged by a public service body is $1 or less, if the admissions are made in the course of the fundraising events where charitable receipts for income tax purposes may be issued, or admissions are to amateur performances.

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under the HST?Child Care Services No GST No RST No HSTLegal Aid No GST No RST No HSTCoffins and Urns Purchased Separately from a Package of Funeral Services


Fitness Trainer 5% No RST Yes (changes to 13%)Hair Stylist/Barber 5% No RST Yes (changes to 13%)Esthetician Services (e.g. Manicures, Pedicures, Facials)


Funeral Services 5% No RST Yes (changes to 13%)Legal Fees 5% No RST Yes (changes to 13%)

Did You Know?Approximately 2.8 million families and individuals would benefit from the proposed Ontario Energy and Property Tax Credit, which would provide over $1.2 billion annually in energy and property tax relief.

PROFESSIONAL AND PERSONAL SERVICES:

ELECTRONICS:




under the HST?TVs 5% 8% No (remains 13%)DVD and Blu-ray Players and Accessories


MP3 Players 5% 8% No (remains 13%)Cell Phones, Smart Phones 5% 8% No (remains 13%)Cell phone service 5% 8% No (remains 13%)CDs, DVDs and Blu-ray discs 5% 8% No (remains 13%)

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TOBACCO:




under the HST?Cigarettes and Other Tobacco Purchases


Nicotine Replacement Products 5% No RST Yes (changes to 13%)

BANKING AND INVESTMENTS:

Did You Know?In Atlantic Canada, investment in machinery and equipment rose by more than 12 per cent following the move to a harmonized sales tax.




under the HST?Mortgage Interest Costs No GST No RST No HSTMost Financial Services No GST No RST No HST

© Queen’s Printer for Ontario, 2010ISBN 978-1-4435-2537-4 (Print)ISBN 978-1-4435-2538-1 (HTML)ISBN 978-1-4435-2539-8 (PDF)

Still Have Questions?

To learn more about the benefits of HST visit www.ontario.ca/taxchange. You can also call 1 800 337-7222, teletypewriter (TTY) 1 800 263-7776.

For more information, you can also contact the Canada Revenue Agency. Visit the CRA website at www.cra.gc.ca/harmonization or call 1 800 959-5525.

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Hst taxable goods